Helios Underwriting Plc Acquisition (8123U)
August 03 2015 - 2:00AM
UK Regulatory
TIDMHUW
RNS Number : 8123U
Helios Underwriting Plc
03 August 2015
3 August 2015
Helios Underwriting plc
("HUW" or the "Company")
Acquisition of Lloyd's Limited Liability Vehicles
Further to the announcement released on 15 July 2015, HUW is
pleased to announce that, in line with its strategy of increasing
underwriting capacity through acquisition, it has agreed to acquire
Nameco (No 76) Limited and Kempton Underwriting Limited, limited
liability members of Lloyd's ("LLV"s), for a total consideration of
1,454,536 new ordinary shares in the Company. The agreed aggregate
price of the LLVs being acquired is GBP2.4m and this is based on
their estimated combined net asset value (the number of shares to
be issued is based on the 162.5p share price prevailing at the time
the terms were agreed). The combined 2015 underwriting capacity of
the LLVs is GBP2.0 million (this compares with HUW's 2015 capacity
of GBP24.7 million prior to these acquisitions). The LLVs
participate in a spread of Lloyd's syndicates broadly similar to
HUW's own participation. The Company's directors consider, having
consulted with its nominated adviser, that the terms of the
transaction are fair and reasonable insofar as its shareholders are
concerned. The acquisitions are subject to change of control
consent from Lloyd's.
Commenting upon the acquisitions, Nigel Hanbury, the Company's
Chief Executive Officer, said:
"We are delighted to have agreed further LLV acquisitions which
will further increase our underwriting capacity and, in this
instance, to have been able to use our shares as consideration.
This is in line with our stated strategy of acquiring corporate
members as suitable opportunities arise. We continue to believe
that there remain significant opportunities for further growth
available to the Company."
For further information please contact:
HUW 020 7863 6655 / nigel.hanbury@huwplc.com
Nigel Hanbury - Chief
Executive
Smith & Williamson Corporate
Finance
David Jones 020 7131 4000
Westhouse Securities
Robert Finlay 020 7601 6100
About HUW
HUW provides a limited liability direct investment into the
Lloyd's insurance market and is quoted on the London Stock
Exchange's AIM market (ticker: HUW). HUW's subsidiary underwriting
vehicles trade within the Lloyd's insurance market as corporate
members of Lloyd's writing approximately GBP25 million of capacity
for the 2015 account. The portfolio provides a good spread of
classes of business being concentrated in property insurance and
reinsurance. For further information please visit
www.huwplc.com.
Additional information
Nameco (No 76) Limited and Kempton Underwriting Limited
(together, the "WR Namecos") are limited liability members of
Lloyd's which HUW has agreed to acquire from Will Roseff (who
currently holds 1,168,969 ordinary shares in the Company
(representing 12.9% of the Company's issued share capital); his
holding would increase to 2,623,505 ordinary shares (representing
25.0% of the Company's enlarged issued share capital) if the
acquisitions proceed to completion). In the year ended 31 December
2014, the WR Namecos made a combined profit before tax of GBP0.17m
on gross premiums written of GBP1.5m and their combined net asset
value at completion is expected to be approximately GBP2.4m,
including underwriting capacity with an estimated market value of
GBP0.7m.
Set out below are the WR Namecos' combined 2013 and 2014 open
years of account forecasts:
YOA WR Namecos Forecast of syndicate profit
syndicate (31 March 2015)
capacity
(GBP'000)
------ ----------- -------------------------------------
Mid point Mid point Range
(GBP'000) (%) (%)
------ ----------- ----------- --------- -------------
2013 1,606 149 9.27% 6.26 - 12.29%
------ ----------- ----------- --------- -------------
2014 1,817 122 6.74% 2.52 - 10.96%
------ ----------- ----------- --------- -------------
Source: Syndicate data and HUW analysis (before early
release)
Set out below are details of the WR Namecos' combined syndicate
participations for the 2013 to 2015 years of account:
YOA 2013 2014 2015
---------- --------------------- ------------------- -------------------
Syndicate (GBP'000) (%)* (GBP'000) (%)* (GBP'000) (%)*
---------- ---------- --------- ---------- ------- ---------- -------
33 166 10.3% 175 9.6% 175 8.8%
---------- ---------- ------- ------------ ------- ---------- -------
218 54 3.4% 54 3.0% 43 2.2%
---------- ---------- ------- ------------ ------- ---------- -------
386 63 3.9% 63 3.5% 54 2.7%
---------- ---------- ------- ------------ ------- ---------- -------
510 295 18.4% 295 16.2% 345 17.4%
---------- ---------- ------- ------------ ------- ---------- -------
557 15 0.9% 15 0.8% 15 0.8%
---------- ---------- ------- ------------ ------- ---------- -------
609 150 9.3% 150 8.3% 200 10.1%
---------- ---------- ------- ------------ ------- ---------- -------
623 217 13.5% 235 12.9% 219 11.0%
---------- ---------- ------- ------------ ------- ---------- -------
727 20 1.2% 20 1.1% 45 2.3%
---------- ---------- ------- ------------ ------- ---------- -------
958 79 4.9% 63 3.5% 67 3.4%
---------- ---------- ------- ------------ ------- ---------- -------
1176 16 1.0% 16 0.9% 16 0.8%
---------- ---------- ------- ------------ ------- ---------- -------
1729 - - 16 0.9% 16 0.8%
---------- ---------- ------- ------------ ------- ---------- -------
2010 85 5.3% 85 4.7% 74 3.7%
---------- ---------- ------- ------------ ------- ---------- -------
2014 - - 100 5.5% 133 6.7%
---------- ---------- ------- ------------ ------- ---------- -------
2121 53 3.3% 64 3.5% 164 8.2%
---------- ---------- ------- ------------ ------- ---------- -------
2525 20 1.2% 20 1.1% 20 1.0%
---------- ---------- ------- ------------ ------- ---------- -------
2791 200 12.4% 176 9.7% 155 7.8%
---------- ---------- ------- ------------ ------- ---------- -------
6103 - - 21 1.2% 9 0.4%
---------- ---------- ------- ------------ ------- ---------- -------
6104 20 1.2% 70 3.9% 70 3.5%
---------- ---------- ------- ------------ ------- ---------- -------
6105 20 1.2% 50 2.8% 50 2.5%
---------- ---------- ------- ------------ ------- ---------- -------
6106 15 0.9% - - - -
---------- ---------- ------- ------------ ------- ---------- -------
6110 30 1.9% - - - -
---------- ---------- ------- ------------ ------- ---------- -------
6111 87 5.4% 91 5.0% 89 4.5%
---------- ---------- ------- ------------ ------- ---------- -------
6117 - - 39 2.1% 26 1.3%
---------- ---------- ------- ------------ ------- ---------- -------
7227 - - - - 3 0.1%
---------- ---------- ------- ------------ ------- ---------- -------
Total 1,606 100.0% 1,817 100.0% 1,987 100.0%
---------- ---------- ------- ------------ ------- ---------- -------
* Percentage of total syndicate portfolio
This information is provided by RNS
The company news service from the London Stock Exchange
END
ACQPTMPTMBAMBLA
Helios Underwriting (LSE:HUW)
Historical Stock Chart
From Aug 2024 to Sep 2024
Helios Underwriting (LSE:HUW)
Historical Stock Chart
From Sep 2023 to Sep 2024
